Strategic Management Approaches for Competitive Advantage: A Case Study of Commonwealth Bank

Running head: MARKETING
Marketing
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MARKETING1
Executive Summary
In order to gain the competitiveness in the market, there are various methods of strategic
management that will be efficient in making the companies successful. In respective kind of
situation, the report has been suitable in considering the strategic management concept which
is considered to be the branch of management which is concerned with development of
strategic vision along with setting of different objectives. As to act as the guide to
organization, it can be helpful in surviving the different changes which takes place in the
market and overcoming such in a. From the paper, it can be seen that the strategic
management approaches have been capable of behaving as the guide in moving in the
specific direction which are in alignment with vision of company and improve their
competitiveness. Moreover, the sustainable approach, the industry leadership and resource-
based view assisted in development of the core competencies as well as competitiveness
which helped in survival of the business and growth in a successful manner. Lastly, the basic
purpose of the approaches of the strategic management is to gain sustained competitive
advantage which is possible in developing as well as implementing strategies that is effective
in creating value for the customers and improve their brand image in the industry as well.

MARKETING2
Table of Contents
Introduction................................................................................................................................3
Investigation of Three Approaches............................................................................................3
Sustainable Approach.............................................................................................................3
Resource-Based View............................................................................................................4
Industry Leadership................................................................................................................6
Conclusion..................................................................................................................................7
References..................................................................................................................................8

MARKETING3
Introduction
Strategic management helps in setting the detailed goals that is effective in analysing
the internal as well as external resources along with analysing the external environment and
the views of the stakeholders. The excellent type of corporate governance requires the
efficient process of strategic management which will be efficient in understanding the
environment in which the firm operates. The purpose of the paper is to identify the different
potential strategic management approaches that makes the companies perform well and
identify the ways to reach to those objectives. The report will be highlighting an organization
which have been successful in managing the approaches and in the present, they are
successful in disparity to competitors.
Investigation of Approaches to Strategic Management
Sustainable Approach
The corporate social responsibility is defined as the concept of self-regulating
business model which assists the organizations to be socially accountable to the stakeholders,
to itself and public. According to Wesselink et al. (2015), the CSR allows the companies to
perform their bit for the society, customers, society and the stakeholders. It gives chance to
the different employees of the company for contributing towards the society and environment
as it will improve the reputation of the company efficiently. Additionally, as stated by
Taticchi et al. (2015), the most socially responsible companies can be improving image and
build their brand. The author has commented that there are different potential advantages of
CSR in business which will create positive reputation of the business, increased loyalty of
customers and better financial type of performance.
In addition, as stated by Volberda and Karali (2015), the corporate social
responsibility gives the different employees with feeling of the unparalleled happiness
wherein the different employees take proper pride in educating the poor people or children
who are not able to afford to go to schools or receive the formal kind of education. The
activities related to CSR helps in strengthening the bond among the employees for helping
others which will be contributing towards the welfare of the society and it will be help the
company in generating high level of revenues in the market.
On the other hand, as orated by Taticchi et al. (2015), the CSR requires high costs in
manufacturing the products when they need to be replaced. Due to the same, there is increase
in the costs along with decrease in the product contribution which will be affecting the
revenues of the company negatively. Additionally, as opined by Saenz et al. (2015), from the
administrative aspect, the different strategies of CSR can end up in becoming the expensive
endeavours with difficult to track the return on investment and the promotion of campaigns of
CSR have financial component that can affect their brand image negatively as the company
will be running in debts.
As observed by Rothenberg, Hull and Tang (2017), the CSR promotes the
greenwashing stated by some of the critics that CSR can be resulting to futility and it will be
leading to greenwashing. There are different companies which just talks regarding the CSR
activities, however they fail to implement the same in the company and due to the same, it
leads to the major drawback that cannot be ignored and it needs to be improved.
For instance- From the analysis of the suggested benefits and the limitations of the
sustainable approach, it can be elaborated with proper illustration of the Commonwealth